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FinnZ [79.3K]
2 years ago
9

Let's say you're in eighth grade. At your school, it's traditional for eighth graders to have a dance each spring before they le

ave for high school. In order to make your dance a success, your class will need to fundraise. You're hoping that selling candy-grams for Valentine’s Day will raise a lot of money! The cost of producing each candy-gram is a dollar, but this does not include the cost of making any posters or banners to promote your sale. Give your reasoning as to the lowest price you should charge for each candy-gram. What would be the highest possible price you could charge? Would your class be willing to create and sell more candy-grams at the highest price than at the lowest? Why or why not?
History
1 answer:
anastassius [24]2 years ago
5 0

Answer:

We will tag our prices to range from $1.8-$4.5

Explanation:

The Candy grams are to be produced with different qualities so as to win the prices mentioned above. we would have covered some important concepts of pricing our commodities.

The best candy grams will go for $4.5 because of the quality, therefore its value will be dictating the price. A lot of profit will be collected as the value will be outstanding though the production cost remains the same.

We will sell some of the candy-grams at $1.8 because we are need to cover the cost of production and fetch at least some profit. Cost-pricing will work best in this case as the cost of our products will be determined buy the whole process of calculating the cost involved in production and the profit that will be expected. losses will be unheard of in this scenario.

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